As the price of Bitcoin had risen above four thousand dollars mark ($4,000) people were filled with the hope of greater bulls. The token’s pattern showed that the price would rise further above. The token was expected to develop a ceiling in mid forty-one hundred dollars ($4100s).
However, the token failed to rise any further and has now fallen beneath the $4,000 mark. The short-term outlook still remains green as the price remains over $3,920 that was the lowest token price of last day.
The token had climbed to a 25-day highest at $4,055 last day, as it finally broke through the $4,040 ceiling. However, the bull was short-lived as the token price fell to $3,920 then rose to $3,974 as the day closed off.
The negative pattern that appeared is usually an early sign of bull exhaustion.
If the outlook has to turn bearish the price must first fall below $3920. The current trading price is at $3,980 with a 1.2% drop on a 24-hour basis.
On the daily charts, the price action has created a bearish reversal candle with a low at $3,920. The pattern suggests that any move below $3,920 will push the token all the way to February’s low of $3658.
On the other hand, a move above $4,055 would reinforce the bulls towards $4,190.
The chances of rallying towards $4,235 would also increase if today’s session ends above $4,040. A push towards $4,235 would be the result of an inverse head and shoulders neckline pattern that engulfs the short term chart.